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HomeMy WebLinkAbout1988-11-02 EURA MINUTES• • • CITY OF ENGLEWOOD URBAN RENEWAL AUTHORITY NOVEMBER 2, 1988 I. CALL TO ORDER. D R A F T The regular meeting of the Englewood Urban Renewal Authority was called to order by Chairman Voth at 5:45 P. M. Members present: Tatton, Voth, Byrne, Cole, Keena, Mcintyre, Minnick Hanson, Alternate Member Hinson, Executive Director/Executive Secretary Members absent: Daugherty, Alternate Member Also present: Harold Stitt, Assistant to EURA Director II. APPROVAL OF MINUTES. October 12, 1988 Chairman Voth stated that the Minutes of October 12 were to be considered for approval . Mcintyre moved: Minnick seconded: The Minutes of October 12, 1988 be approved as written. AYES: NAYS: ABSTAIN: ABSENT: Voth, Byrne, Cole, Mcintyre, Minnick, Tatton None Keena None The motion carried . Ill. CERTIFICATE OF PARTIAL COMPLETION Trammell Crow/Englewood Marketplace Mr. Hinson stated that the Authority has received a request from Trammell Crow for an additional Certificate of Partial Completion on the Englewood Market - place. This Certificate of Partial Completion would include all the improve- ments made to this point in time. All buildings except the structure to be used for Sound Warehouse have been completed. This project is out for bid, and the projected opening date is early April, 1989. Interior work has begun on the Jasmine Gardens Restaurant. Trammell Crow has approximately 93,000 square feet of the total 98 ,000 square footage under lease at the present time. Tatton moved: Mcintyre seconded: The Urban Renewal Authority approve the issuance of a Cer- tificate of Partial Completion to Trammell Crow/Englewood Marketplace. - 1 - AYES: NAYS: ABSENT: ABSTAIN: Byrne, None None None Cole, Keena, Mcintyre, Minnick, Totton, Voth The motion carried. IV. 3400 BLOCK SOUTH ACOMA STREET City of Englewood/EURA Lease Mr. Hinson stated that at the meeting of the EURA on October 12, the Authority voted to lease the undeveloped property in the 3400 block of South Acoma Street to the City for $1/year and the City could use the property as they so chose. A draft lease agreement was presented to the Mr. Benedetti, Legal Counsel for the Authority, and to the City Attorney for review. The draft lease was then discussed with the City Council, and some minor modifications were suggested, one of which was that the initial period of the lease be for three years, rather than on a year-to-year basis. Ms. Daugherty entered the meeting and took her chair with the members of the EURA. A second modification was that the City wanted to have a specific price per square foot set forth in the agreement, if they wanted to exercise the option to purchase. The price of $5.20/square foot was agreed upon, this being the same price per square foot that the EURA sold undeveloped land to Trammell Crow and to Lincor Properties of Colorado. The lease may continue indefinite- ly, or may be terminated at such time as a proposal for development is submit- ted which is acceptable to the EURA and to the City. Mr. Hinson stated that the EURA is obligated to develop property owned by the Authority in accordance with and to further the implementation of the Downtown Redevelopment Plan. Any municipal use which the City of Englewood puts this land could be within the terms of the Downtown Redevelopment Plan. Mr. Hinson discussed his review of the State Statutes regarding the sale and or transfer of land to another entity, such as the City of Englewood. He also reviewed his conversations regarding the proposed lease of the land with bond counsel and underwriters. Mr. Greg Johnson, Bond Counsel, stated that if more than 15% of the Authority-owned land is used for non-tax-generating purposes, there might be a conflict with the bond indenture. However, this site does not con- stitute more than 15% of the Authority-owned property. Brief discussion ensued. Cole moved: Minnick seconded: The Urban Renewal Authority approve the proposed changes in the lease between the EURA and the City of Englewood for property in the 3400 block of South Acoma Street, namely that the initial term of the lease shall be for three years, and that a purchase price of $5.20 per square foot shall be delineated in the lease. AYES: NAYS: ABSENT: ABSTAIN: Cole, Keena, Mcintyre, Minnick, Totton , Voth, Byrne None None None - 2 - • • • • • • The motion carried . v. FINANCIAL REPORTS Mr. Stitt stated that this last month, Area #1 (the Downtown Area) exceeded the base level in sales tax collections. The base level is $725,669, and the amount of tax collected year to date is $731,437. During the month of Oc- tober, $91,000 was collected in sales tax revenue. The impact of Amendment #6, if approved by the voters at the general election, was discussed. Mr . Hinson stated that taxes already collected would not be rebated, but collections would cease at the 3 .5% level, and would be rolled back to the 3% sales tax effective prior to January 1, 1988. Ms. Keena dis- cussed the differences between the California Proposition #13 enacted several years ago, and the proposed Amendment #6 before voters this November. Mr. Hinson stated that the EURA has saved quite a bit in the administrative budget this year because of lawsuits that have been won or settled out-of- court. It is anticipated that the construction of the final phase of Little Dry Creek improvements will come in slightly under the projected budget. The Authority is still holding the retainage for RBI, and a settlement between RBI and Sandalwood Apartments has been reached. RBI has yet to reach a settlement with Key Savings and Penn House Apartments. Mr. Totten asked why no interest revenue was shown on the construction fund for 1988. Mr. Stitt and Mr. Hinson stated that the construction fund is not a City fund, but is invested through Managed Financial Services. This income would be reflected on the MFS Investment Report . VI. CONSTRUCTION REPORT. The construction report was briefly reviewed. Mr. Hinson pointed out that Lincor Properties is really progressing on construction of the Phar-Mor Plaza development. VII. EXECUTIVE DIRECTOR Contract Renewal Mr. Hinson stated that the Downtown Redevelopment project is basically com -. pleted. There still remains a handful of items to be done, but this should not constitute a full time position for all of next year . He stated that he and Mr. Wanush, Director of Community Development , have discussed the pos - sibility of proposing to City Council that an Economic Development office be created with the aim of retaining existing businesses, securing new busi- nesses, and promoting Englewood . Mr . Hinson stated that he and Mr. Wanush discussed the idea that he could function part time as the EURA Executive Director, and part time as the City Economic Development Director . At the present time, he cannot speak for or represent the City of Englewood in any way. Previously , the Executive Director of the Authority was also the Assis- tant City Manager for Economic Development, and having one person function in both positions seemed to work quite well. Mr. Hinson pointed out that there is a great deal of competition from other municipalities to retain and acquire businesses, and Englewood must take control of its own growth to remain com- petitive. Mr. Hinson stated that he has received several inquiries from in- dustrial firms located in Denver that are displeased with the increase of the -3 - head tax in Denver, and are inquiring about relocating to Englewood. Mr . Hin- son stated that there is a need to have a central economic development office/ • staff or the result could be the loss of several great opportunities to add to the tax base of the City. Mr. Hinson asked if any members of the Authority felt there would be a problem with him working on a part time basis for the Authority and part time for the City on Economic Development if Council approves the proposal. It was the consensus of the Authority members there would be no problem with this pro- posal. Mr. Hinson stated that this proposal will be discussed with the City Council on November 14, and that possibly the Authority could then discuss the renewal and or revision of his contract at their meeting in December. Ms. Byrne stated that she felt there is need for an Economic Development pro- gram for the city. Mr. Minnick stated that he felt the City Council, EDDA, and the Chamber of Commerce should promote and advertise the City and the State as much as possible, inasmuch as the State does not seem to be doing much advertising in other states to lure businesses to relocate to Colorado. Mr. Hinson stated that he understood the Denver Chamber of Commerce southern California advocating relocation of businesses to Colorado. Ms. Keena stated that this is also true in the Chicago area . Ms. Keena discussed the construction of the Convention Center in Denver, and the possibility of additional hotels needed to handle convention attendees. She stated that it is a possibility there might be interest in the 3400 block of South Acoma as early as 1992 or thereabouts as a site for a hotel. Discus- sion ensued. There being no further business to come before the Authority, the meeting was • declared adjourned at 6:30 P. M. Gertrude G. Welty Recording Secretary -4 - •